The Bluecoat (A company Ilmited by guarantee) Annual Report and Consolidated Financial Statements Year ending 31 March 2024 Company number 02246627 Charity number 700862 THE BLUECOAT {A company limited by guaranteg) FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2024 CONTENTS PAGES Company Information Directors, R8POrt 3-19 Independent Auditor's Report 20-23 Consolidated Statement of Financial Activities including the Income and Expendilure Account 24 Consolidated and Company Balance Sheet 25 Statement of Consolidated Cash Flows 26 Notes to the Financial Statements 27-48 THE BLUECOAT {A company limited by guaranle&) Company Information for Year Ended 31 March 2024 Company number: 02246627 Charily Number,. 700862 Registered Office: School Lane, Liverpool. L13BX Auditors: Mitchell Charlesworth (Audil) Limit8d. Suite 5.1. 12 Tithebarn Str88t. Liverpool. L2 2DT 8ankers: Natwest Bank, 2￿ Church Street, Liverpool. L13BG Dlrectors The Directors of Ihe charitable company (the charity) are its Trustees for Ihe purpose of charity law. The Trustees serving during Ihe year and since Ihe year end were as follows: Chair Directors Peter Mearns Jamie Eastman Ralph Bullivant Sri Sarker Michael Birchall Sally-Anne Watkiss Philomena Harrison Gabriella Chauke Rachel Duncan Chief Executive Mary Cloake Governing Document The Bluecoat IS 8 company limited by guarantee, governed by its Memorandum and Article5 ofAssociation dated 21 April 1988, as amended by special resolutions dated passgd 27 September 1988 and 9 December 2003. THE BLUECOAT IA company Iimiied by guafanl&8) THE BLUECOAT {A company limited by guarante8) Directors, Report for the Year Ending 31 March 2024 The directors of the company. who are also the trustees of the charity, are pleased to present their annual report. together with Ihe consolidated financial siatements of the charity and its wholly owned subsidiary for the year ending 31 March 2024. The financial statemènts have been prepared in accordance with the accounting policies sot out in note 1 to the financial statements and comply with the charity's memorandum and articles of association, the Companies Act 2006 and "Accounting and Reporting by Charities.. Statement of Recommended Practice applicable lo charities preparing their accounts in accordance with tha Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).. Our Purposes and Objectives Bluecoat is Liverpool's centre for the conlemporary arts. We offer a y68r-round programme of visual art, music, dance, live art and literature thal connects to and offers new p8rspectives on our contemporary world. Our purpose is lo open up possibilities for indtviduals and communities by: supporting diverse artists to develop their practice at all stages of Iheir career, to engage with audiences and to communicate the power and value of arl to as broad spectrum of people as possible helping people find a meaningful place for the arts in Iheir lives, creating safe and inclusive spaces for everyone to engage as audiences and participants preserving, revealing and inlerpreting the mullifaceted story of our historic building, and also the counlry's firsl arts centre, making it accessible to a range of audiences through acllvltles, exhibitions, events and digital content in appropriate formats. Through these we deliver the agreed objectives of the Charily when it was first constilul8d in 1927, which are to: foster and promote the improvement. development and maintenance of artistic knowledge and understanding and appreciation of tho arts promote and advanc8 aesthetic education cultivate and improve the public laste in the arts in the United Kingdom, in particular in Merseyside provide facilities for the education of the public in the fields of visual and performing art5. THE BLUECOAT {A company Iimiled by guarantee) Directors, Report for the Year Ending 31 March 2024 Introductlon As wg refEect on another remarkable yet challenging year. we are proud of the varied and significant work we have delivered as we continue lo serve our communities and audiences. The past year has been a testament lo the Bluecoat's resilience, creativity. and dedication to fostering a vibrant cultural community in Liverpool. Through a rich tapestry of exhibitions. events, and participation programmes. the Bluecoat has continued to champion the arts and provide a platform for diverse voices. From Ellle Hoskins, giant lardigrade sculplure, to TIM Spooner's quivering animatronic creatures, the galleries have given voice to a range of different perspectives, and have captured the imagination of an increasing number of visitors to the BIu8coat. Ouldoor commissions on 81undell Lane continue to extend our artistic programm8 beyond the confines of the building and its opening hours. Bright, positive billboard artworks by Tess Gllmartln, Ottman Sald and Alvetina Khakldze have conlribut8d to the City's cultural offer, adding appeal to spaces that may otheNise lack inspiration. Our participation teams continued to engage with diverse communities in meaningful ways. including adults wilh learning disabilities. people living with demenlia, and Children who might not othemise have access to the arts. The Bluecoat's heritage remained as important as ever. as we embarked upon a new project lo uncover how we can work with our great8St assel. ihe building and its heritage, to engage new audiences and improve our financial resilience. An ever evolving financial landscape meant a continued commitmenl to business development. A creative and entrepreneurial approach lo income generation has allowed us to continu8 to deliver the excellent work Ihat we are known for, while expanding our live programme. The sector continues to face significant challenges, yet our dedication to the Bluecoat's mission remains unwavering. As ever. w8 ar8 deeply grateful for the support from our community and slakeholders and look forward lo another year of creative exploration and meaningful impact. Artist Development This year saw a step change in the Bluecoat's approach to artist development. We structured our work around artist developmenl to be tailored to Ihe individual needs of the artist, and find ways in which our behind the scenes work with artists can be made mor& public without compromising the inlegrily of "space and time. for artists to develop privately. The Wiltenham Bursary continued to support local artists. particularly arlists of colour. Sumuyya Khader held the first ygar-long residency which helped her to continue to explore new ways of working thal were not possible from her existing print-based studio, chiefly a new strand of oil and acrylic painting. Later in the year we welcomed Jennifer Lee Tsai, who has dev81oped her career as a writer. We have been able to respond directly to Lee Tsai's current needs., time and space to finish a substantial body of work about her mother, and support to explore new ways of sharing her work. including film and performance. Joshua Clague continued his year long New Contemporaries studio bursary ihis year, and we commissioned a new exhibition of his work to mark the end of his bursary. The specific needs of Clague led us to offer him a 3 month residency in the first floor gallery between November and February. Given that Clague is a young. early career artist, we felt that the industry standard turnaround for his exhibition would be counlerproduclive and place a degree of THE BLUECOAT (A company limrted by guaranieel Directors, Report for the Year Ending 31 March 2024 stress on a young artisl's ability to make decisions for their first solo exhibition at a major public gallery. Further, we wanted to be respectful to the nature of Clague's work, in which a highly personal narrative was explor8d thal related to the people and places he grew up with in nearby Birkenhead. Giving Clague time and space to test his exhibilion before il opened to the public, meant Ihat the artist could be confident in sharing such personal work so close to home. Allowlng artists time before making new work public was a strategy that we extended to Tess Gilmartin and Otlman Said, both of whom had a gallery residency at the end of the previous year. A period of 10 months between the end of Iheir residency and the presentation of the work {two large outdoor billboards) that they had begun development of. gave th6 artists plenty of lime to prepare work which was new and experimental to be made public. This also gav8 us an opportunity lo build the right context for their work in order to increase engagement and heighten audience experience. Gilmartin, Said and Clague all featured in our season of programme The Lives of Artists, which asked audiences what might b8 uncovered about ourselves when we listen to the testimony. histones, and stories of artlsts reflecting on their lives. Also featured in the first half of The Lives of Artists was Babak Ganj8i, a mid-career artist who has made his career on the margins of the contemporary visual arts sector. Having been previously commissioned by BBC Radio 4 and Channel 4. and amassing a cult following onlina, this was Ganjei's first solo exhibition at a publicly funded gallery in the UK. Work with Ganjei began in 2020 when he was first Commissioned to create an artwork for our vlsitor d@sk as part of a capital development projecl. This began a long-term relationship with Ganjei and an und8rslanding of whal kind of opporlunily he might need to develop his practice further. His exhibition Thanks For Having Me was a huge step, combining a retrospective of his best known. humorous drawings alongside new sculptural work and installations that dug into a more serious thread of his sense of identity as a second generation Brltish-lranian immigrant. The exhibition skilfully explored how his sense of identity had shifted post-Br8Xit, making connections to growing up in the seaslde lown of Bourrbemoulh and carvlng out his own space in the arts as an 'oU￿.der,. Working in partnership helped us to maximise our work with artists. A partnership with Southwark Park Gallery resulted in the co-commission of Tim Spooner, an artist known for his performances, to create his first major retrospective of gallery works. Spooner's experimental approach broughl togelher sketches. paintings and sculpture with a highly engaging installation of moving sheep-like sculptures which vibrated, crawled and danced across the gallerios. Another kèy partnership was with Liverpool Biennial, whos8 exhibition brought artists Nicholas Galanin, Raisa Kabir, Kent Chan and Benoit Piéron to Liverpool. With an emphasis on posl-colonial histories. the exhibition offerod a sensitive and 0ft8n joyful approach to Ihe subject. Our Liverpool Biennial exhibition brought curators and artists from South Africa. U.S,A.. France. Netherlands and the UK. This helped us build on our work with international artists in the first quarter of the year, with our Dialogues season. The focus of Dialogues was a residency and exhibition in our galleries which brought an artisl from Ukraine (Alevtina Khakidze) into conversation wilh an artist from Liverpool (Ellie Hoskins). Both artists found connection in their affinily for tardigrades. liny micro-organisms with incredible powers. Hoskins was drawn to the lardigrade's ability lo go into a deep sleep until their environment is more favourable, a strategy that she would love for the life of an artist. Khakidze held the tardigrade up as a hero for Ukraine. an animal that is capable of withstanding the threat of nuclear war. The exhibition was a success with audiences and Khakidze was interviewed about her exhibition at Bluecoat for Channel 4 news. THE BLUECOAT (A company limiled by guaranieel Directors, Report for the Year Ending 31 March 2024 The Dialogues season featured other hosted artworks such as Soloveiko. an interactive Ukrainian songbird sculpture in our courtyard. And live programmes, such as a stand-up comedy performance by Khakidze and local performer Trev Flemming. The Lives of Artists continued into the next financial year, but we have already found from visitor feedback and KPIS that the seasons have been a real success in helping to altract audiences, contextualise our programme and help them digest our cultural offer. Blue Room The Blue Room Esmée Fairbairn funded Programme Beyond the Blue continued this year. The aim of this project is to support learning disabled and neurodivergent artists to further develop, defin8 and share their individual artistic practices. An important element of this year's activity was profile raising and networking for the project and artists. Project staff, artists and Ihe wider Blue Room community worked to develop relationships with exlernal partners while identifying opportunities lo share, sell and be part of conversations. Blue Room artists and staff were invit8d to speak about the projecl at several events throughout the year. These events include 'Explorers'. developed by Project Art Works al the Baltic in Newcastle., at Dead Ink Books with Lewis Scolt and inclusive arts praclitioner Richard Phoenix,. al Lancaster Universily and al Pallant House Gallery in Chichesler- to presenl at a Values Led Engagement Conference attended by 60+ professionals from the soGially engaged practice field. Blue Room Norton Priory had the opportunity to meet wilh and present work to Arls Council England CEO Darren Henley on his visil to new NPO Norton Priory. As a direct outcome of the growth of the profil8 of 81ue Room. in Chrlstmas 2023 the project was commissioned lo produce the first of 2 knot wrap designs for the cosmetics company Lush titled 'Party Animals.. The knot wraps were distributed inlernalionally. wilh 50,000 units produced. Partnership and commissioning opportunities continued in January 2024 as a second Blue Room knot wrap commission was confirmed. The commission, 'Building Togelher, was developed as part of Lush's Valentine's collection, inspired by 2022's exhibition Are You Messin,? Finally, Blue Room member Tess Gilmartin received a milestone commission for Lush's 2024 advent calendar. Academic Jade French approached Ihe programme lo become a parlner in the Fulure Leaders Fellowship. The project aims lo connecl Blue Room staff and artists with lead learning centres in Leeds and Brazil, whilsl engaging members in a critical debate aboul how learning disabled artists are supported, promoted and perceived by the world wide arts sector. As a further result of work to raise the profile of Ihe project and its artists, artwork sales have increased. A collector purchased an elching by Joshua Henderson at the Liverpool Art Fair and followed up with a studio visit. Blue Room have held stalls al several markets throughout the year, including Liverpool Print Fair. where Blue Room artworks and prints were popular choices amongst attendees. Members engaged with the Bluecoat's exhibition programme as part of their artistic practice. The Liverpool Blue Room groups focused on exploring the Biennial onsile. but also explored exhibitions at other venues. We worked with Liverpool Biennial to programme and deliver a successful tour of the Bluecoat exhibition for visitors - with members sharing alternative perspectives and the work they created inspired by their explorations of the exhibitions. The THE BLUECOAT IA company limited by guaranleel Directors, Report for the Year Ending 31 March 2024 Norton Priory group visited the Bluecoat to experience the Biennial exhibition and continued to creatively explore the natural environment of Norton Priory. Bluo Room artists Ottman Said and Tess Gilmartin presented Iwo Studio Me billboard commissions for Blundell Lane from thoir works Horse Big (Gilmartin) and Liverpool Waterfront (Said). The ￿mmIssiOnS were part of BIu8coat's Livgs of Artists season. Three Studio Me artists received mentoring from guest artists including William Richardson with Hannah Blackman-Kurz. John Steele with Siya Faith Gurbuz and Otlman Said with Bernadette O'Toole. Studio Me artists featured widely in exhibitions in Liverpool, Heswall and Knaresborough. Blue Room Studio Me artist Alfred 8eesley continued his project, 'Under the Apple Tree,. supported with funding from the Henry Moore Foundation. The project focussed on sculplure inspired by apple trees al Norton Priory. Alfred also worked on a small commission from Norfolk-based supported studio Barringlon Farm to create an activity resource. The Blue Room Cr8alive Manager continueLI lo develop th8 Lead8rship and Advocacy strand of Blue Room through an online'ideas group. meeting fortnighlly to develop skills, advise on public events and support with other elements of the Blue Room programme, This group is made up of Blue Room members and occasionally supporters ol the project. Another priority for the project was the diversification of income streams, as well as piloting initiatives to develop new areas of work - particularty through dance and movement. Two cohorts of low-cost inclusive dance sessions were piloted in August and November 2023 to explore different models for the Blue Room Moves programme. Both cohorts attracted a consistent group who paid weekly to attend. The pilot culminated in a celebration event in January 2024 attended by 65 people. Artists Vicci Riley and Mary Prestige supported four Blue Room Moves dancers for aflernoon artist development sessions. As part of Ihe sessions. Ihe group connected with guest artists Will Dickie and musician Michael Metlison. Noel Jones created a short film about the project and a celebratory sharing evenl was altended by 60 peop￿ to rnark the end of the project in March 2024. Growth of membership remained a priority for the programme. As a result of focused outreach and engagement work. Blue Room welcomed three new members and supported existing members to increase the amount of days Ih8y were able to attend the projecl in collaboration wilh social work teams and families. At the beginning of March 2024, annual reviews took place with Blue Room members and their support workers and families. These meetings are vital for slakeholder engagemenl and evaluation of the project and programme. The purpose was to celebrate the achievements of members, communicate the impact of the project, and to check in and ensure the best possible support is in place for members, Feedback was overwhelmingly positive with many members and their families commenting on the central role engagement plays in their creativ6 lives and sense of belonging, possibility and personal growth. Where the Arts Belong This was the final year of delivery for this hugely successful 5 year programme of work. The project found its last location in the newly opened Chester Belong Village in the firsl quarter of the 202312024 financial year. THE BLUECOAT IA company limited by guarantee) Directors, Report for the Year Ending 31 March 2024 The residencies devaloped by Alan Dunn, Brigitte Jurack, Roger Hill, Mary Prestidge and Jonathan Raisin produced a variety of outputs including a whole collection of collaboratively made ceramics, books, drawings and digital art which found a permanenl home al the village. The residences were captured by filmmaker Ed Pink and shared via a special screening al Ihe Grosvenor Chester and online platfomis Vimeo and YouTube. The Bluecoat worked very closely with staff on silo al thé village and with Sènior mambers of Ihe Belong team. including the CEO and the Director of the onsite Nursery. Interactions were facilitated between residents of the Belong Villages, Experience Day Customers and Children from the Nursery which produced a vibrant. crealive and intergeneralional atmosphere and energy. The sessions at Belong engaged with 36 older people, 12 children and 16 family members. The project completed its last output in an off site exhibition, S88n and Heard - Adventures in Art and Dementia, which ran from June to Oclober 2023 at Grosvenor Museum, Chester. The exhibilion brought together the six artists who worked creatively in the Belong care village in Chester. Spending time with residents, lamilies, Belong colleagues and children from Ihe on- site Nursery, the artists invited people to take part in a range of arts activities. This exhibition included artworks made by the artists and village community members. which were exhibited amongst the hislorical artefacts displayed in the museum. Learning and outputs from the project were brought together in an online resource on the BIu8coat websit8 and som8 of th8 artworks created in collaborative moments between artists and residents were18ft on $8mi-p8rmanent display at the Museum and Belong Villag8. Publications from the programme have been shared wilh a wide-variety of participanls and partners including Baring Foundation, Arts in Care Homes and all of the Belong Villages. Publication5 ranged from practical guides lo artworks in their own right the lasl being The Jingle Book which was produced by Alan Dunn wilh support from Leeds Beckett University. Children and Famllies l Out of the Blue This year, in addition to our focused outreach after school programme Oul of the Blue, the Bluecoal's parlicipalion team delivered an extended Baby Book Club outreach programme, Co￿rdInated a su¢¢essful public programme, and piloted collaborative ticketed events. In January, Out of the Blue after school art clubs resumed, totalling 10 sessions across clubs at Leamington and Four 08ks Primanes with 126 children in attendance, The Bluecoat team worked with Oul of th8 Blue children to explore and respond to the Bluecoat's exhibition, A New Kind of Animal, by Tim Spooner. Spooner expeiim8nts with how materials behave in order to better understand them. and from these materials conslructs 'collections of sculptures and objects which come logether into ideas for possible universes., Spooner's 8xhibition al the Bluecoat featured eclectic 'quivering' furry sculptures that left audiences intrigued and curious. Drawing on Spooner's work, Out of the Blue chikjren designed and created their own kinetic sculptures that moved and wobbled. In February 2024, the team introduced Out of the Blue clubs lo artworks created by arlists Paddy Gould and Roxy Topia. Gould and Topia are the lead artists in the Bluecoat's family- friend ly summer 2024 exhibition Lel Your Ideas Come Back as Children, The team actively familiari5ed children with Gould and Topia ahead of in-person workshops. so participants could form their own opinion5 and responses to the artists, creative pro￿sseS and approache5. allowing time and space for unconscious creativity to take place. -10- THE BLUECOAT IA company I mtied by guarantee) Directors, Report for the Year Ending 31 March 2024 The Bluecoat delivered half term activitias during October and Febwary. In the October sessions, children from Out of the Blue worked with artist Stu Harrison to create a c18an air campaign alongside live cartoon drawing workshops. 'Eat to Meet. funding from Mers8y Play Action Council and Funding from the Breathe Better Air community fund (administered by Community Foundation for Merseyside) enabled us lo deliver four days of onsite activily for Out of the Blue children. The funding 8n8bles us to provide a nutritious lunch each day of half t8rm, designed and prepared by the Bluecoat's catering team. During Ihe February half term, four holiday activity days were delivered, inviting and supporting Out of the Blue children to attend the Bluecoat for entira days of activity, Artists Paddy Gould and Roxy Topia were in attendance and led workshop delivery alongside our Participation team, facilitating 84 attendances from our regular Out of the Blue cohort. Again, all children were provided with nutritious hot meals each day, prepared by our catering team supported with funding from Merseyside Play Actton Council. Thanks to funding from The Wild Escape, The Bluecoat hosted a Family Weekend as an Arts Council initiative encouraging children to visit cultural organisations and respond creatively to the thraat to th8 UK'S natural environment. Artist Nikki Colclough co-ran the event themed around the environment. nature and connection with the natural world, which 250 people attended. A second family weekend look place in November 2023. 160 people attended and took part in activities such as designing alternatively powered vehicles. making wind turbines and draw- along exercises led by Stu Harri50n. Artworks from the Out of the Blue half lerm sessions were displayed to the public as part of this event. This year saw a strong demand for Baby Book Club with Iwo of the three cohorls selling out. Artist Roger Hill led the sessions. working with parents and babies from 3 to 12 monlhs. The Bluecoat received funding from PH Holt for Baby Book Club Outreach work. This aimed to engage parents and carers from communities who might otherwise be at risk of exclusion. In July 2023 the Bluecoat co-hosted the first of the Biennial Family Days in which Unmute Dance Theatre, a company of artists with mixed abilities and disabililies. explored choreography and ideas through music and physical theatre. In August 2023. we were joined by storytellers from The Reader who curated a day of stories bas8d around Nicholas Galanin's work in Ihe galleries. Later in the month, wg hosted a second Biennial Family day, focused on weaving. inspired by ihe work of Raisa Kabir. Durlng the 2023 summer holidays. the Bluecoat Irialled a new family space in the garden, with an outdoor weaving loom, a chalk hut, simple mud kitchen and som8 building blocks. In additlon to this, we also added creative construction toys to our Children's Corner in Ihe hub. In December 2023 we hosted the first in a series of collaborations with Movema called Makers + Shakers: a creative family disco. To celebrate Lunar New Year, we worked with Movema to deliver a second Makers & Shakers event on 16 February 2024, atlracting over 100 paying attendees, plus 5 families from our Oul of Ihe Blue clubs. The Children and Family team collaborated with the Bluecoat's print studio, to deliver ten ticketed print parly workshops. The workshops were themed around Eurovision. Back lo School, Halloween, Christmas and Tim Spooner's exhibition. The parties proved to be a brilliant example of cross departmental collaboration delivering quality programming for our audiences. THE BLUECOAT IA cornpany limiled by guaranlee) Directors, Report for the Year Ending 31 March 2024 Cultural Legacles The previous year's Echoes and Origins participation project continued lo resonate, It was the subject of a presentation that Director of Cultural legacies and our Collaborative Doctoral Award student Michelle Girvan gave to a conference, 'Shaking the Archives,. at Queen Margaret Universily, Edinburgh. The projecl's two facilitators. Tavia Panton and Janaya Pickett, respectively delivered powerful poetry and a historical introduction to the building's colonlal links in our courtyard for Liverpool's Slavery Remembrance Day's Walk of Remernbrance in August. Echoes and Origins. inleractive installation. 'Out of Ihe Shadows, about the Blue Coal school children. and a map charting the slaving voyages of the family of charity school founder Bryan Blundell, remained on display during the year. attracting much interest. Alongside the Plotting Ihe Course exhibition, they provided a valuable introduction to the Bluecoat's origins and the arts centre's long engagement with artists of colour. A 'resilience' application to the Heritage Fund was successful, and work started at the end of the year on a 15-monih R&D project, The Bluecoat." A Cultural H8rilago for Liverpool that will explore and t@s1 ways to embed cu Itural legacies more eff8CtiV81y in our programmes, the archive. audience development and commercial strategies. as well as infom)ing future capital work. Another archival display in Ihe Bluecoat's Vide exhibition space charted our ongoing relationship with Liverpool Biennial since it started in 1999. This was accompanied by a panel discussion, Tracing the Biennial, with contributions from people involved in the festival's early years. For the Biennial's 'independents' strand we supporled Bluecoat alumnus arlist Tony Phillips to relaunch hls art trail Above us Only Sky. starting and finishing at the Bluecoat, whose painted plaques charted the history of man-made flight. Our annual Lowry Lounge event included an afternoon walk to Hilbre Island. which fealur8s in Malcolm Lowry's work. Our online Malcolm Lowry collection was substantially added to, providing a valuable record of thirteen years of Bluecoat adivity and a resource for researchers and fans of the Wirral writer. Heritage Open Days proved popular. with building tours, artisls, open studios and print demonstralions. In response to the year's 'Unwrapping Creativily, theme, Director of Cultural Legacies gave a sell-oul illustrated talk on Yoko Ono's long relationship with the Bluecoat, starting in 1967 wilh an event Ihat included her being wrapped in bandages by the audience (and being 'unwrapped' when she r8tumed in 2008). The talk was filmed for our websit8 and, to coincide with Ono's retrospective at Tate Modern, Music of the Mind (the title also of her 1967 Bluecoat event), put online. Archival material was loaned to an exhibition at Bury Arl Museum relating to cult Californian musician Captain Beefheart's Bluecoat painting show in 1972, together with artwork by Blue Room. There was also a significant increase in the use of the archive by postgraduate and other researchers from the UK. Europe and the US. consulling resources and seeking our advice on a range of subjects. Talks and tours were given to many art, architecture, history and lilerature students as well as groups of curators, local history groups, University of th Third Age, international cultural delegation5 and individual artists interested in our history and cultural18gacies approach. British Art Network's Emerging Curators Group used the Bluecoat as a base for their Liverpool visit and were introduced to our work. A Liverpool John Moores Universily intem joined us to work on an exhibition of reportage drawings by Julia Midgley documenling LJMU'S bicentenary year, staged al the Art & Design School and there was an archilecture student project designing interventions into our building. Our collaborative doctoral awards with University of Liverpool continued and other academic research partnerships were developed across the year. These included an Empire and Place 12- THE BLUECOAT IA company limited by guaranle&l Directors, Report for the Year Ending 31 March 2024 group. set up by Bluecoat alumna, Mohini Chandra, involving venues in port cities with a colonial history, and projects delving inlo Liverpool's colonial histories Ihal chime wilh our own past, such as the industrialist and one-tirne Bluecoat owner. Lor(l Leverhulme. The work we are developing in the field of creative interrogalion of archives was recognised when the Director of Cultural Legacies was invited to give a keynote talk at a symposium. 'Why Look Back?, at Nottingham Conlemporary, looking at contemporary art and the archive. and it is hoped that the arts centre will continue to partner on this project. The year saw Ihe transition of Liverpool Arts Regeneration Consortium (LARC), which the Bluecoat has been a member of since its inception, into a new CIC organisalion, Th8 Culture Network (Liverpool City Region). Director of Cultural Legacies continued chairing the Race Equality Action Group, sel up by LARC and Creative Organisations of Liverpool (COOL). Its main focus is implemenlalion and oversight of a Race Equality Manifeslo. which was launched in May and now has some 30 signatories from the arts and culture sector k)cally. Director of Cultural Legacies. Bryan Biggs, receipt of an Honorary Fellowship from Liverpool John Moores University, in November, has strengthened the Bluecoal's links to Ihe university. He is already engaged in several projects including joining an advisory group for a post- doctoral research projecl looking at the slave trade connections of LJMU'S founding colleges in the nineteenth century, and we look forward to collaborating with the university on our 'resiliencg' projoct. Publlc Vlsibility and Influence 2023 provlded many opportunilies for public visibility, due lo Liverpool's successful bid to host Eurovision on behalf of Ukraine. The Bluecoat was host to Ukrainian artist Alevtina Kakhidze. who was paired with local artist Ellie Hoskins as parl of Dialogues, an exhibition which saw the artists create new work, responding to each other and Ihe ccniext of EuroFestival. In April, the Bluecoat was represented at the EuroFestival launch. The markating t8am produced a short film. which explored the creative intention behind Dialogues. Thls film was scr8ened to press at the launch evenl as parl of a cily-wide PR stralegy. This resulted in positive coverage from The Guardian, and wss also displayed on our hub screens. The Bluecoal was mentioned on bbc.co.uk. Manchester Evening News. Creative Tourist and The Times. The Bluecoat was also aired as part of a three-minute Eurovision feature on Channel 4 News with Alevtina Kakhidze. showcasing our galleries. Altilude's website, which sees 1.7 million monthly unique users, featured the Bluecoat's Eurovision screening event al the top of their Eurovision round up. According to ticket data. attendees of the Bluecoat's Eurovlsion screening travelled from as far as Brighton. Glasgow and Dublin. In another Guardian feature, the Bluecoat was included in this year's The Guardian's Alternative Guide to Liverpool article. recognised as one of the city's "world-class" art galleries. Important cultural slakeholders visited the building in 2023124. including Cullure Minister Sluart Andrew and a number of local arts and culture colleagues. In May, there was a roundtable discussion on the impact of investment in Ihe arts. as well as the benefits of hosting Eurovision in Liverpool. The minister was given a tour of the building and an overview of the Bluecoat's work. Local MP Kim Johnson visited as part of a scheme that saw MPS visiting many cultural venues across the city. Representatives from each department attended. lo demonstrate Ihe variety of work delivered across Ihe organisalion. The meeting was an opportunity lo discuss key objectives and challenges. Kim was a great advocate of our work. and left u5 Wlth some key action points. A press release was distributed after the event lo mark the visit. 13- THE BLUECOAT (A company limiled by guèrènlee) Directors, Report for the Year Ending 31 March 2024 In early June, key arts press - including joumalists from The Guardian and Telegraph - visited the Bluecoat as part of Biennial press week. The press view was well attended by all joumalists from all key broadsheet newspapers, and reviews were complimentary, focusing on the positivity of the exhibition on display at Bluecoat in comparison to Iho content at other venues. The Bluecoal's Biennial exhibition was featured across a host of national media including Aesthetica magazine, and The Double Negative. Particularly positive coverage was reported in Hannah Clugston's Guardian review. With the announcement of previous Bluecoal Head of Programme, Marie-Anne McQuay's appointment as 2025 curator of the Liverpool Biennial, the Bluecoat was mentioned in several high profile publications such as Artforum, ArtReview and Th8 Art Newspaper. The Biennial press view was an opportunity to dislribule a p￿sS release on the Bluecoat's Autumn exhibition Tim Spooner.. A New Kind of Animal, in person to journalists. The exhibition was mainly covered by regional and local press, including Creative Tourist and Art in Llverpool. The show was reviewed by The Double Negative. and Art in Liverpool, The exhibillon was promoted with an ouldoor fly posting campaign utilising creative designed by Thom Isom. who has previously designed the Liverpool Biennial creative. An exhibition film was made with Carl Davies of FACT Film Production and received 469 views on Youtube. This was also displayed to local audiences in the Bluecoat's hub. The participation team received strong public coverage this year, Where the Arts Belong, a groundbreaking arts prograrnme for those living with dementia, came lo a conclusion. This presented a number of media opportunitles as the project lead was interviewed for two separate shows on Radio Merseyside. The Bluecoat was approached by Cosmetic company. Lush, to develop a knot wrap In partnership with Blue Room. The knot wrap culminated in a physical launch event at Lush Liverpool. Granada had arranged lo film al LUSH during the launch party. but unfortunately did not arrive due to an urgent emerging news story. In September, we celebrated Heritage Open Days wilh a programme of fully booked heritsge lours of the building. We also worked wilh Ihe Bluecoat's creatlV8 community to invite the public into our artist studios to open access to the building, and hosted a free intaglio print workshop. BBC radio Merseyside invited Dir8Ctor of Cultural L8gacies, Bryan Biggs, to discuss Heritage Open Days. In December, the upcoming programme for 2024 was publically announced. This announcement covered The Lives of Artists season, which received a very positive receplion across social media. with a total reach of around 8.500 and more than 500 engagements. For Babak Ganjei's exhibition. targeted ads were taken in arts press channels including Art in Liverpool and The Double Negative. as well as promoted social media posts on Facebook and Instagram. The exhibition received local and règional press coverage in channels such as Arl in Liverpool and Creative Tourist. Senior Curator, Adam Lewis-smythe was interviewed by Helen Jones for BBC Merseyside. to discuss Ihe exhibilion programme. Tlktok audiences continued to grow, with the Bluecoat's following surpassing 1 .000. This channel remains a key part of a strategy to reach new audiences. Buslness Development This year was an importanl year for Business Development at the Bluecoat, as the need to continu8 divgrsifying income remained a priority in an increasingly competitive fundraising -l4- THE BLUECOAT (A company limiled by guaraniee) Directors, Report for the Year Ending 31 March 2024 landscape. Whereas 2022123 was a year of establishment and testing for Business Development, 2023124 was a year of consolidalion and growth. In line with the 2022123 commercial strategy, fairs and markets returned in abundance. The Bluecoal hosled Liverpool Print Fair in both April and November. Empife Sector's Geek Bazaar in July,. Pop up Gallery Market in August., and monthly Slill Out-of-Print book fairs. A debul Art Market curated by the Bluecoat saw Stalls host8d by print studio members. local artisls, and members of the Bluecoat's creative community. Market days resulted in an uplift in cafe sales, and gave occasion to Irial merchandise sales for bolh Bluecoal and Blue Room. Liverpool City hosting Eurovision in 2023 provided an opportunity for the Bluecoat to test new ways to generate income, Cross4lepartmental collaboralion resulted in a wide range of inilialives and events. This culminated in Iwo citywide trail partnerships Solveiko Songbird and Wi¢h Fire and Rage. a Ukrainian dish being included within our cafe menu., Eurovision family activity packs., a Blue Room sunflower Irail: a sold out Eurovision viewing party- and two sold out family print parties - all underpinned by a successful artistic programme Dialogues. This cross departmental approach to Eurovision was an important demonstration of the Bluecoat's evolution and commltrnent to financial resilience. Live music returned lo the programme in the form of an evenlng of experimenlal music organised in partnership with local promoters Thom Isom and Andy Hunt. Dialect, Dane Law and Adela Mede performed to a near sold out performance space, Bluecoat's Print Studio Manager continued to scal8 th8 growth of lh8 print studlo in the flrst full year of operation following raopening. A calendar of 26 print workshops and courses attracted 214 attendees in ioial. 92 open studio print sessions were booked during the course of the year. The launch of Ihemalic family prinl pariies have brought a new audience of younger prinl makers to the Bluecoat. many who relum for each session. Prinl studio growlh is slow but steady, and as we build awareness about the sludio in the City and beyond, we hope lo see demand increase exponentially. Other ticketed workshops included wreath making with Channel 4's Gemma Longworlh, and a Lunar New Year inspired Calligraphy workshop with arlisl Pei Tong. We trialled a free 'Collage your Intentions for 2024, workshop in January. The public were invited Io atlend a creative session in the Bistro and a bespoke cocktail menu was developed to encourage bar sales. The Bluecoat triallad two themed partnership evenls aimed at families, called Makors and Shakers with Movema. Movema hosted dance sessions in the Performance space, while Bluecoat's Children and Families leam ran a series of creative aclivilies in the Bistro. Both events sold slowly and at a loss, bul we anlicipate that both partners will need lo commit lime and resources to build an audience for this if we are to continue with the programme. This will be reassessed next financial year. Where possible all income generating activities have been supported by the Bluecoat Trading's food and beverage operation. Themed drinks have been designed for lickeled events. seasonal occasions and new audiences, including a superhero inspired coffee for the Geek Bazaar. and Mulled wine sold from the garden during the Christrnas season. Following the redevebpment of our ground floor public spaces our Cafe had an exceplional trading year, exceeding its income larget by £23k. With the appointment of a Head Chef in November 2023 we are confident our business will continue to grow through seasonal menu planning and robust cost management. 15- THE BLUECOAT {A company limited by guafantee) Directors, Report for the Year Ending 31 March 2024 An 8xample of the impact that our Head Chef has already made was the re-launching of Mother's Day Afternoon teas. with a new, modern menu. The event was a success, and will encourage the Bluecoat to pursue other. ticketed dining offers. Development In 23-24, we continued to fundraisa for a range of projacls across the BIu8coat, including Out of the Blue, Blue Roorn. Cultural Legacies and for cora operating costs. Our fundraising activity spanned Trusts and Foundations, Individual Giving and Bluecoat M6mberships. During this period, we applied to 88 trusts and foundations. successfully raising £604.299. with an approximate SUC￿$$ rate of 25'A In May, Fidelity UK Foundation approv8d th8 81uecoat's full grant request of £342,937 over a three year period. The purpose of th8 grant is to support the developm8nt and diversification of Bluecoal's trading and commercial arrn. The grant includes the appointment of three key members of staff (Mark8ting and Events Executive, Head Chef and Duty Manager), as well as updates to audiovisual equipment and a new CRM for the organisation. A number of small grants were secured in support of the Bluecoal's Children and Families programme. These grants include the Breathe Better Air Fund, administered by Community Foundation for Merseyside,. Ellis Campbell Foundation: Ironmongers: MPAC Eat to Meet; PH Holl Foundation and Pilkinglon Charities Fund. Several small grants were also secured for our Blue Room programme. Some of which were new funders (D'oyly Carle Charitable Trust, Radcliffe Trust), alongside more famlliar funders such as the Skelton Charitable Trust. Charcoalblue LLC donated to the Bluecoat's Studio Me programme. The Bluecoat secured a large grant from the National Lottery Herilage Fund, worth £210,696. The projecl spanning a year will fund five strands of work, exploring how Ihe Bluecoat can use its greatest asset (the building and its heritage) to encourage greater financial resilience. Grants to support exhibition programming for the ft)Ilowing financial year were secured including Elephant Trust and Slowe Family Law. Following an expression of interest for Arts Council England's Capltal Investment Programme, we were invited to submit a full application. Our aim is to reconfigure the Bistro (1st floor) to create an accessible flexible space. Its versatility will allow configurations for different performances and evenls, for both public and private use. The space will support both daytime and evening events. This application was successful. Other prospecls include a funding appeal of £50.000 to the Headley Trusl in support of restoring the building's hisloric cupola. The Headley Trust Represgntative infomied us that the proposal would go to the Trust's Commitiee Meeting in mid-April 2024. A first-stage proposal was submitted lo the Bloomberg Philanlhropies Digital Accelerator Programme. If successful, a second-stage application will be developed with support from a Bloomberg representation. This will be primarily focussed on improving our digital infrastructure. We identified three key areas of focus: CRM, intranet and outdated hardware. Improving these areas would increase the organisation's capacity lo deliver quality programming across all teams. Individual Giving saw us raise £4.173 across the year through a combination of on-sit8 and online fundraising including our Member and Patron sch8mes- a 6.90/0 increase compared to 22-23. Total cash donations for the year were £2,085. made up of contactless donations (£930), online donations (£562) and Memberships (£595). -16- THE BLUECOAT {A company limited by guarantèè) Directors, Report for the Year Ending 31 March 2024 A newly recruited Markeling and D8velopment Officer WOTked on fresh, disruptive new visuals for donation messaging. They applied the principles of decision science to messaging aimed at visitors using the Bluecoat as a free toilet, in an effort to offsel an increased water bill cost. Online donations (via 'add-ons' at point-of-sale for tickets) also increased. This is due to a piece of work by the Live programme Assistant, whereby a donation option was integrated though our ticketing service, Trybooking. As part of a new individual giving initiative. an agreement was formalised with Giant Cash Bonanza 'Th8 Bluecoat Lottery, _ an incentivised way for supporters to give regularly wlth th8 prospect of cash rewards. Our membership offer continued to evolve. with the Inclusion of heritage badges and postcards, and an increase in priority and discounted events. This will remain a priority in the next financial year. We were fortunate to host Fundraising Guru Bemard Ross of Management Centre l=MC Learning). He ran a fundraising workshop exploring the principles of D6cision Science with the wider admin team. We hope to bring him back to deliver a follow-on workshop to our Front of House team. focussed on noimalising donation asks and generating greater donations through individual giving. Financial Review The consolidated financial results for the year are set out on pages 24 to 48 for Bluecoat and it5 wholly own8d subsidiary. Trading at the Bluecoat Ltd. The group had net expenditure for the year of £631,003 (2023: £561,463). after charging depT8ciation and amortisation of £395.541 (2022,. £404,915). Trading at the Bluecoat Ltd operates a café and bislro. events, conferencing and catering facilities and the profits generated a￿ distributed to the charity under gift aid to assist the charity in meeting ils objectivès. The ventur8 g8n8rat8d a loss before tax for th8 yéar of £41,068 (2023- loss of £12,861). Reserves and Investment Policy Bluecoat understands the need for unrestricted reserv8S to cover downturns in both earned income and public funding. The Directors have agreed that the reserv8s level should aim to cover at least three months, operating expenditure. this being approximately £500,000. At 31 March 2024. the group had unrestricled general reserves totalling £60,835 (2023 as restaled: £266,490). The DirectOTS review the Reserves Policy on an annual basis. They recognise that growth in reserves will only arise from having a more suslainable business that is attractive to investment. To this end, the Directors have made plans arKI taken action to improve the re5er¥es Position, ncluding: reducing the operating cost base through the review and renegotiation of supplier contracts, and through reduclion in staffing levels increasing earned income generation through the bringing in of skilled new board memb8rs on to the subsidiary trading company's board. Ihe development of a commercial strategy that will maximise Ihe earnings potential from all areas of the building, and the implementation of this strategy -17- THE BLUECOAT {A company limited by guar8nlee) Directors, Report for the Year Ending 31 March 2024 increasing grant income generation Ihrou9h a focused fundraising and development strategy supported by additional rnanagement focus on this area cr8ating operating 8fficienci8s in how the building is used through the forthcoming grani-funded capital investment into the central areas of the building The Directors have reviewed a broad range of evidence, including budgetary projectlons for a period of at least one year from the approval of Ihese financial stalem8nts in order to confirm the going concern principle for Ihe organisalion. More detail on this matter is included in nole 110 these financial statements. The charity's investment In the subsidiary company is valued at cost less provision for any permanent diminution in value. The charity has no other investments. and surplus cash is held in bank accounts. Appointment of Directors As set aut in the governing document Ihe Board has a minimum of four Directors and maximum of twenty. Membership of the Board is open to anyone who has an interest in the objects of the company and are elected by the members. The Board has the power to co-opt members considered to have specialist skills or knowledge that will be beneficial to the company, providing the nurnber of co-opted members does nol exceed a third of the membership of the Board. Co-opted members serve on the Board for a period determin8d by the Board, not to exceed five years. Currently there are no co-opted members. Dlrectors, Inductlon and Tralnlng Board membeTS on appoinlment receive a full induction and there are also away4ays each year, where the Board and senior staff review the direclion and effectiveness of lh8 organisation. These are augmenled by courses and other board development intervgnlions as appropriate. The term of office of Directors is four years. Suilable indemnity Insurance is in place, Organlsatlon and Governance and Management Structures The Board of Dlrectors is responsible for the defi'nition of policy and general oversight of all th8 functions and activilies of the Company. The board delegates additional scrutiny and policy development to its committees. These consist of the Finance and General Purposes Committee. the Artistic Advisory Committee. the Board Devebpment Committee, and the Safeguarding Committee. In addition, the charity's subsidiary company Trading at the Bluecoat Ltd has its own board of directors. The slrategic and operational leadership and managemenl responsibility is delegated to the Chief Executive. Related Parllos and Co4)peratlon wlth Other Organisations Any connection belween a Director or senior manager of the charily with a production company, contracted artist, performer. exhibitor or supplier must be disclosed to the full board of Directors in the same way as any other contractual relationship with a related party. In the current year, related party transactions ar8 set out in note 22 to the accounts. -18- THE BLUECOAT (A CDrnpany limiled by guarantee) Directors, Report for the Year Ending 31 March 2024 The charity's wholly owned subsidiary. Trading at The Bluecoat Ltd., operates the café, Ihe bistro. and events and conferencing facilities at Bluecoat. Pay Policy for Key Management Personnel None of the board Directors receive remuneration or other benefit from their work with the charity. The remuneration of k8y management personnel is determined by the board Directors of the charity. They consider the seniority of the post, the expertise and experience of the post holder, the local market conditions and sector market conditions for remuneration, and benchmarking information from similar organisations in determining the remuneration of key m8nagemeni personnel. Plans for the Future Our s8ason The Liv8s of Artists season continues into th8 new financial year with two intertwining &xhlbitions by Michelle Williams Gamaker and Dahong Hongxuan Wang. Into the summer, we'll begin a new season titled Weird Futures, featuring work by artists who have all worked with children. The focus of the season is a brand new, thought-provoking exhibition by Merseyside-based artists Roxy Topia and Paddy Gould, who have been working in collaboration with children aged 8-11 from our afterschool art club Out of the Blue. The exhibition, Let Your Ideas Come Back As Children, is designed with children and adults in mind, and will feature interactive artworks that children can enjoy, but also hold deeper meanings for adults lo discuss. As part of the season, we're hosling Liverpool Biennial's summer programme of free family aclivilies, bringing weekly workshops to the gallery alongside a new film by conceptual artist Stine Marie Jacobsen, Future, Before it Happens. The film explores the wellbeing of young people in relation lo th8 climate crisis, made in Collaboration with children from St Anne's Catholic Primary School. Wlth the new appointment of a brand new Head of Catering and Events and Head Chef, our food and drink offer is rejuvenated. Alongside a new caf8 menu launching in October 2024 and Christmas lunches in our upstairs restaurant over the feslive season, Ihe team are also working to connect our dining offer with our gallery programme, giving all visitors a 'taste' of contemporary art no matter what part of Ihe building they visil. This will include unique afternoon teas Ihemed around our 'Weird Fulures, season. gingerbread inspired by arlwork by artists from Blue Room and more. At the end of 2023, we found out we wor@ successful in our applicats'on to the National Lottery Heritage Fund, and will begin a new project 'The 81uecoaL' A Cultural Heritage for Liverpool,, in the new financial year. This year-long project will explore how the Bluecoat's rich heritage can be used to lell the story of Liverpool. its artists and its people. while making the arts centre more resilient. Within this piece of work, we wi51 embark on several participation projects, including the development of our inclusive arts programme which will recruit a provision of learning disabled and neurodivergent young people aged 16-25. The project will also bring an exciting programme of evenls and exhibitions to the gallery. The e-commerce strand of the project will include the implementation of an online shop which will, in the first nstance. sell h8ritage themed merchandise. taking inspiration from our 300+ y8ars of history. -19- THE BLUECOAT (A company limited by guarantee) Directors, Report for the Year Ending 31 March 2024 We're excited to expand this to include artist collaborations and connect with our gallery programme. We have applied to Arts Council England as part of their Capital Invesiment Programme, and if successful, we will embark on a redevelopment project which will enable us to grow our public programme and events businesses. The project will refurbish and reconfigure our upstairs 'Bistro', into a more versatile and accessible events and performance space, with flexibility to host a year-round programme of a vast range of events. This will ultimately increase our visitor numbers and allow us to aitract more diverse audiences and offer high- quality events programme. Looking further ahead. we're delighted to welcome Liverpool Biennial, the largest festival of contemporary visual art in the UK, back lo the Bluecoat in June 2025 for Ihe 13th edition of the arts festival, curated by Ihe Bluecoat's former Head of Programme, Marie-Anne McQuay. Risk Management The major risks to which Bluecoal is exposed. as identified in the risk register, have been reviewed and mitigations and contingency plans put in place to manage Ihese risks. The risk register is monitored and updated on an ongoing basis and reported to the Finance & General Purposas Committee of Ihe Board at least twice a year. The directors consider the key risks and uncertalnties faang the charity are.. The Building is not sufficient to support strategy through lack of investment in day lo day repalrs and maintenance. and Ihe conseNalion of the historic building is compromised. This is mitigated by repairs and mainlenance plan in place; Capital investmenl plan (balanced against cash constraints) in place. Capilal grant funding bids. Insufficient reserves resulting in inability lo invest in future capital needs or respond to unforeseen circumstances. This is mitigated by future operating surplus budgets planned; margin identified and sought on all projects- Reserves Policy in place and strategy to achieve this: regular Financ8 Committee monitoring. Dlrector8' Responslbllltles In Rolatlon to the Flnanclal Statemgnts The Dir8¢tors (who are also truste8s of the charity) are ￿spOnsIble for preparing a Directors. report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Directors to prepare financial statements for each financial year that give a true and fair view of the slate of affairs of the charity and of the income or expenditure of the charitable group for the year. In preparing Ihose financial statements the Dlrectors are required to: select suitable accounting policies and then apply them consislently observe the methods and principles in the Charities SORP make judgements and estirnates that are reasonable and prudent. whilst ensuring that applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statemants -20- THE BLUECOAT {A company limiled by guarantee) Directors, Report for the Year Ending 31 March 2024 prepare the financial statements on the going concern basis unless it is inappropriale lo presume that the charity will continue in business. The Directors are responsible for keeping accounting records that disclose with reasonable accuracy at any time the financial position of tha charity and enable them to 8nsuro that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Informatlon Provlded to Audltors In respect of each Dlrector at the date the Directors. Report is signed: so far as we are aware, there is no information needed by the Charity's auditors in connection with preparing their report (relevant audit information) of which Ihey are unaware; and as the Trustees of the Charily we have laken 811 the steps thal we ought to have taken in order to make ourselves aware of any relevant audlt informalion and to establish Ihat the wmpany's auditors are aware of that information By order of the Board Peter Mearns Chairman -21- THE BLUECOAT {A CAynpany limiled by guacanleel INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE BLUECOAT FOR THE YEAR ENDED 31 MARCH 2024 Opinion We have audited the accounts of The Bluecoat (the 'Parent Charity.) and its subsidiary (the "Group") for the y8ar ended 31 March 2024 which comprise the Consolidated Statement of Financial Activilias, th8 Consolidated and parent charitable company Balance Sheets, the Consolidated Statement of Cash Flows and the notes to the accounts, including a summary of significant accounting policies. The financial reporting framework Ihat has been applied in their preparation is applicable law and United Kingdom Accounling Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Praclice). In our opinion. the financial slatements.. give a true and fair view of Ihe state of the Group's and Parent Charily's affairs as at 31 March 2024 and of the group's incoming resources and application of re50urce5. for Ihe year Ihen ended; have been properly pr8parad in accordance with United Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordance with the requiremènts of the Companios Act 2006. Basls for oplnlon We conducted our audit in accordanc8 Wlth International Standards on Audiling (UK) {ISAs (UK)) 8nd applicable law. Our responsibilitl8s under those standards are furthèr describad in the Auditorfs responsibilitie5 for the audit of the accounts section of our report. Wa are independent of the Group and Parent Charily in accordance with the athical raquiremonts thal are relevant to our audit of Ihe accounts in the UK. includlng the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance wilh these requirements. W6 believe that the audil evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Conclusions relating to golng concern In audiling Ihe financial statements. we have concluded that the Iruslees, use of the going concern basis of accounting in Ihe preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any mater[81 uncertainti88 relating to events or conditions that, individually or collectively. may cast significant doubt on Ihe Parent Charily's ability to continue as a going concern for a period of at least twelve months from when the financial statemenls are aulhorised for Sssue. Our responsibilities and the responsibilities of the truslees with respect to going concern are described in the relevant sections of this repo Other Information The other information comprises the information included in the annual report other than the financial statements and our audilorfs report thereon. The trustees are responsible for the other information contained within the annual Trport. Our opinion on the financial statements does not cover the other infomiation and, except to the extent otherwise explicitly stated in our report, we do nol express any fonn of assurance conclusion thereon. Our responsibility is lo read the other informalion and. in doing so. consider whether the other information is malerially inconsislent with the financial statemenls or our knowledge obtained in the course of Ihe audit, or otherwise appears lo be materially misstated. If we identify such material inconsistencies or apparent material misstatements. we are required to determine whether this gives rise lo a material misstatement in the financial statements themselves. If, based on the work we have performed. we conclude that there is a material misstalement of this other information, we are required to report that fact. We have nothing to report in thls regard. -22- THE BLUECOAT IA company Iimiled ty guarante8) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE BLUECOAT FOR THE YEAR ENDED 31 MARCH 2024 (continued) Oplnlons on olh6r matters prescrlbed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of our audit.. the information given in Ihe trustees, report. which includes the directors, report prepared for the purposes of company law, for the financial year for which the financial statement5 are prepared is consistent with the financial statements., and the directors, report included wilhin the trustees, report has been pr8par8d in accordance with applicable legal requirements. Matters on whlch we are required to report by exception In the light of the knowledge and understanding of the Group and the Parent Charity and their environment obtained in the course of the audit, we have not identified material misslatements in the Directors, Report included within the Twstees. R8POrt. W6 have nothing lo report in respect of the following matters in relation to which the Companies Act 2006 ￿qUireS us lo report lo you if, in our opinion: adequate accounting records have not been kept by the Parent Charity. or returns adequate for our audit have not been received from branches not visited by us,, or Ihe Parent Charity accounts are not in agreement with the accounting records and returns: or certain disclosures of trustees, remuneralion specified by law are not made,. and we have not received all the information and explanations we require for our audit. Responsibilities of trustaos As explained more fully in Ihe Statemenl of Trustees, Responsibilities. the trustees, who are also the directors of the Parent Charity for the purpose of cornpany law, are responsible for Ihe preparation of the accounts and for being salisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparat5on of accounts thal are free from material misstatement, whether due to fraud or error. In preparing Ihe accounts. the trustees are responsible for assessing the Group's and the Parent Charity s abilily to continue as a going concem, disclosing, as applicable, matters related to going conc8rn and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the P8rent Charity or to cease operations, or have no realistic alternalive bul to do so. Audltor's responslbllltles for the audlt of the flnanclal statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due lo fraud or error, and to issue an auditorfs report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAS (UK) will atways detect a material misstatement when il exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, Ihey could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. -23- THE BLUECOAT (A company limiled by guaranlee} INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE BLUECOAT FOR THE YEAR ENDED 31 MARCH 2024 {continued) Extent to whlch the audlt has considered capable of detectlng Irregularities, including fraud Our approach to identifying and assessing the risks of material misstatement in r85pect of irregularitios, including fraud and non-compliance with laws and regulations, was as follows- the engagement partner ensured that the engagement t@am collectively had Ihe appropriate competence. capabilities and skills lo idenlify or recognise non- Compliance with applicable laws and regulalions- we identified the laws and regulations applicable lo the company through discussions with directors and other management; we focused on specific laws and regulations which we consldered may have a direct material effect on the financial statements or the operations of Ihe company, including the Companies Act 2006. taxation legislation and data protection, anli-bribery, employment, and health and safety legislation: we assessed the exlent of compliance with the laws and regulations identified above through making enquiries of management and inspecling legal correspondence, and identified laws and regulations wére communicated within the audit team regularly and th8 team r8mained al8rt to instances of non-compliance throughout the audit. We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur. by: making enquiries of management as to where they considered there was susceptibilily to fraud, their knowledge of actual, suspected and alleged fraud: and considering the internal controls in place to mitigate risks of fraud and non- compliance wilh laws and regulations. To 8ddress the risk of fraud through management bias and overrid8 of controls, we.. performed analylical procedures to identify any unusual or unexpected relationships. tested journal entries to identify unusual Iransactions; assessed whelherjudgements and assumptions made in determining the accounting estirnates were indicative of potential bias., and investigaled the rationale behind significant or unusual transactions. In response to the risk of irregularities and nOTF-compliance with laws and regulations, we designed procedures which included, but were not limited to.. agreeing financial stalemenl disclosures to underlying supporting documentation., reading Ihe minutes of meetings of those charged with governance" and enquiring of management as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulalions are from financial transaclions, the less likely it is Ihat we would becom@ aware of non-compliance. Auditing standards also limit Ihe audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence. if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. -24- THE BLUECOAT (A company Iimiled by guoronlee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE BLUECOAT FOR THE YEAR ENDED 31 MARCH 2024 (continued) A further description of our ￿spOnSIbl1111eS is available on the Financial Reporting Council's website at: www.frc.or -uklaudilorsres nsibilities. This description forms part of our auditor's report. Use of our r8POrt This report is made solely to the charitable cOrnpan￿S members. as a body, in accordance with Chapter 3 of Parl 16 of the Companies Acl 2006. Our audit work has been underiaken so that we might state to the charitable company's members those matters we are required to stat8 to them in an auditors, report and for no other purpose. To the fullesl extent permitted by law. we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audil work, for this report, or for the opinions we have formed. Louise Cas8y ACA (Senior Slatutory Auditor) For and on b8half of Milchell Charlesworth {Audit) knmited Accountants statutory Auditor Suite 5.1 12 Tithebarn Slreet Liverpool L2 2DT Date: 23 December 2024 -25- THE BLUECOAT (A company limiled by guaranteè) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING THE INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2024 (2023 as restated) Notes Unr•alrfct•LI Funds R•6trl¢t•d Funds Tot•1 Funds 2024 Total Fund$ 2C123 Cxher Iradlro DonaJons 8rtd ￿ga¢19s Incon* Ir(wn charilat4è 4cllslb"8s 931910 10.861 811.423 933.910 10.861 1.037.213 717.025 4,767 1,421.553 219,7Y2 Total Expbndltur• Expgnditurg on raising lunds Ehpenditure on chariL4tle actimbes 1.298,2YJ 86,838 s58.￿3 1.385.137 1.227,853 1.302.319 1.462.490 Total Not lneomln￿[o￿1B0hngl reaotsreè* foi Iho year and net mov•m•nt Ill funds {20%0551 142S,349) 1631.QQ31 1591.404) Balanc¢ bm 266.490 8.578.143 8,844,633 9,406,097 Balan￿ cjf There ar8 no recognis8d gains and losses in 2024 or 2023 other than the result for the year. All income and expenditure derive from conlinuing activilies. The movement in funds detailed above complies with the r8quirements for a statement of changés in equily under FRS102. -2 THE BLUECOAT IA company limiled by guarantee) CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2024 Company number: 02246627 (2023 as restated) GROUP COMPANY 2W24 2023 2024 2023 lotes FtXED ASSETS IntangitS￿ Fixed Assots Tangible assels In￿S￿￿nI Subsl¢*afy 10,757 9.007,156 10,757 9,003,687 12 13 8.676.994 8.61&904 17 CURRENT ASSETS Stock Debtus Cash at bank and in haTr 14 15 8.088 186.364 186.703 243.451 271,999 403 CREOtroRS: Dufj wlthin on• y¢ar 16 eii).420 273,042 445.369 225,479 Met Current As¥pt• ILlabllltlo5 Total Asi•l*1o•5 Curr•nt Llabllltl CREoifoRS: Du• aft•r one ywr 17 235,849 303,517 235,849 303,517 Total Not As8et• Funds Unrestrlctsd Ras81￿- GBn8Tal Restrlcw Resei 60.83S 8.152.795 266.4 8.578,143 107,356 8,152.795 272,216 8,578,143 19 Total Fund8 8 850 3S9 The Twst8es have tak8n advanlag6 of Section 408 of Companies Act 2006 from th8 requirement to prepare a separate Stalement of Financial Activities for the charity. The net expenditu￿ dealt with in Ihe financial statemenls of the charity is £631.003 (2023: £720,781). The financial statements on pages 24 to 48 were approved and aulhorised for issue by the Board of Directors on Signed on behalf of the Board of Directors Peter Mearns Chairman -27- THE BLUECOAT {A company linited by guarantee) CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024 2024 2023 Cash flows from operatlno activitles: Net incom& lexpendilure) for the year las per the statement of financial activities) (631,003> (561,465) Adiusted for: Depreciation Decrease l (increasel in Sthk Decrease l (increase) in trade and other receivabks Increase l (decrease) in trade and other payabl8S 409,862 2.995 (338) 282,927 404.916 (4,635) 148,692 1302,277) Net cash Inflow (outflow) from operatlng activities 314 769 Cash flows from Investing adivitles Purchase of property, plant & equiprrent (68,949) (6.722) Cash used in Investlng activltles Cash flows from financlno actlvltles Repayment of borrowinq Loans advanced Capiial Grants ReCeI￿d <23,208) (5,108) 250,000 Net cash flows used In financlng actlvttles 244 892 Not Increasal{de¢rease) In cash & cash equlvalents Openlng cash & cash equlvalents Closing cash & cash equlvalents Movement In cash and cash equivalents 208,826 181 112 285,425 208 826 -28- THE BLUECOAT (A company limited by guaianleel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 ACCOUNTING POLICIES Basis of Accounting The financial statements have been prepared under the historical cosl convention. The financial statements have been prepared in accordance with the Statement of Recommended Practice applicable to Charilies preparing their accounts in accordance with th8 Financial Reporting Standard applicable in the UK and Republic of I￿land (FRS102) (effective 1 January 2019) - (Charities SORP (FRS102)), and the Companies Act 2006. These financial statements have been presented in pound sterling, which is the functional currency of the company, and rounded to the naaresl £. The Bluecoat meets the definition of a public benefit entity under FRS102. Assets and liabilities are inilially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s). General Informatlon The Bluecoat is a company limited by guarantee and a registered charity, incorporated in the United Kingdom. The register8d office is School Lane, Liverpool, L138X. Group Flnanclal Statements The financial slatemenls consolidale the results of the charity and its who51y owned subsidiary, Trading at the 8luecoat Limited. on a lin84)y-line basis. Prlncipal Actlvlty Bluecoal is Liverpool's cantre for the contemporary arts. Our purpose is to open up creative possibilities for individuals and communilies. We do this through a programme of exhibitions, live art and participation projects,. through support to artists., by op6ning up our 18, century building to makers, traders and visitors: and by creating connections belween Liverpool and the rest of the world. Golng Concern The financial statements have been prepared on a going concern basis. Whilst the Bluecoat has been significantly impacled by Covid-19. causing trading and 6arned income to temporarily reduce, we have been able to successfully navigate through the economic disruption. We have done Ihis through the careful management of costs, obtaining funding commitments from core funders. obtaining capital grants and recovery grants, together with achievlng additional fundraising and careful cash flow management. The directors remain committed to maintaining annual spending within available resources and increasing general reserves and are fully aware Ihat the economic outlook remains challenging for The Bluecoat and its principal funders - Arts Council England and Liverpool City Council. Both funders have given The Bluecoat commilments of continuing levels of funding Ihat enable The Bluecoat to plan and budget from a firm financial base, and Bluecoal's directors are committed to continue to work with funders to develop plans to improve the charity's financial resilience over the immediate perlod and in the medium to long lerm. The trustees have conSide￿d the level of funds held and the expected level of income and 6xpenditure for the twelve months from authorising Ihase financial statements. The trustees assess the charity to be a going concern based on review of financial performance of the current financial year to date. the management accounts forecasl for the remainder of the currenl financial year, the rolling cash flow forecast, funding commitments from Arts Council England and Liverpool City Council, and longer-term plans and forecasts for 2024,2025 and beyond. As a result. the trustees are confident about Ihe financial future of the charity and satisfied that these accounts are prepared on a going concern basis. -29- THE BLUECOAT IA corrpany limiled by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 ACCOUNTING POLICIES {¢ontlnu8d) Taxation The organisation is a registered charity and as such is exempt from taxation on its charitable 8Ctivities. The charity has taken the opportunily to Seek a corporation tax credit under the museums and gallories tax relief scheme. Govemment grants Revenue granls are credited as Income when they are receivable, provided conditions for receipt have been complied with, unless Ihey relate to a specified future period. in which case they are deferred. Grants for the purchase of fixed assets are credited to income when receivabla. Income Income, including from government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performanc& conditions attached to the item(s) of income have bgen met, it is probabl8 that the income will be received and Ihe amount can be measured reliably. Income received in advance of performance or provision of other specified service Ss deferred until the criteria for income recognition are met. Room hire, rent and other income ar8 recognised on an accruals basis. The charity has not been the beneficiary of any legacies during the year. Donated services and facilitles Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and the economic benefit can be measured reliably. In accordanTr with the Charilies SORP (FRS 102), general volunteer time is not recognised,. refer to Ihe directors, annual reporl for more information about their contribution. On receipl, donated professional services and donated facilities are recognised on Ihe basis ol the value of th6 gift lo the charity which is the amount lh8 charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market., a corresponding amount is then recognised in 8xpenditur8 in the period of receipt. Fund accountlng Unrestricted funds are available to spend on activities that further any of the purposes of charity. Design8ted funds are unrestricted funds of the charity which the directors have decided al Iheir discretion lo set aside lo use for a specific purpose, Restricted funds are donations which the donor has specified are to be solely used for specific areas of the charity's work or for specific artislic projects being undertaken by the charity. -30- THE BLUECOAT IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 ACCOUNTING POLICIES (continued) Expendlture Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. Expenditur0 is classified under the following aclivity headings: Costs of raising funds comprise the costs of commercial trading including the bar and bistro and their associaled support costs. Expenditure on charitable activilies includes the costs of performances, exhibitions and other educational activilies undertaken to further the purposes of the charity and their associated support costs. Governance costs included in expenditure on charitable activities include those costs incurred in Ihe governance of the charity and its assets and are primarily associated with constitutional and statutory requirements. Support costs are apportioned to activity cost categori8s directly on a basis consistent with the use of resources, for example. staff costs by time. Other 8xpenditure represents those items not falling into any other heading. Where costs cannot b8 direclly attributed. they have been allocated to aclivities on a basis consistent wilh the use of resources. Irrecoverable VAT Irrecoverable VAT is Charged against the category of expenditure ft)r which it was incurred. Allo¢ation of support costs Support costs are those functions Ihat assist the work of the charity but do not directly undertake charitable activities. Support costs include back-office costs, finance, personnel, payroll and governance costs which support the charily's artistic programmes and activities. Thes6 costs have been allocated betW88n cost of raising funds and expenditure on charitable activities. The basis on which support cosls have been allocated is set out in note 9. Flxed assets and depreclatlon All fixed assets are stated at cost less accumulated depreciatlon. All items over £500 are capitalised. Depreciation of fixed assets is calculaled to write-off their cost less any residual value over their estimated useful lives on a slraight-line basis as follows: 2.oyo 33.3Yo Freehokl Property Computers and Related Equipment Furnitur8 and Fixtures Other Equipment Property Improvements - 25.0Y. 12.50/.-25.0 /0 100 Intangible fixed assets, which consist of brand and website collateral, are stated al cost (or deemed cost) or valuation less accumulaled amortisalion over an economi¢ life of 3 years unless there are any impairment losses to be recognised. THE BLUECOAT (A company limiled by guaranlee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 ACCOUNTING POLICIES {continued) Stock Purchased stock is included at the bwer of cost or net realisable value. Donated artworks which have been received by the charity for future sale have not been recognised as stock in the accounts. This is because the charity is unable to detemine with any certainty Ihe timing or value of any potential sale of the donated artworks. Debtors Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid nel of any trade discounts due. Cash at bank and In hand Cash at bank and cash in hand includes cash and short terrn highly liquid investmenls with a shorl maturity of three months or18ss from the date of acquisition or opening of th8 deposit or similar account. Credltors and provlsions Creditors and provisions are reco9nised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised al their settlement amount after allowing for any trade discounts due. Concessionary loans are measured at amortised cost. Financlal Instruments The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised al transaction value and subsequently measured at their settlement value. Reserves The charity has a number of restricted income funds to account for situalions where a donor requires that a donation must be spent on a particular purpose or where funds hav8 been raised for a specific purpose. All other funds are classified as unrestricled funds. Unrestricted reserves, if designated for a specific purpose or period. are accounled for as designated unrestricted reserves. Operating lease agreements Rentals paid under operating leases are charged in the Statement of Financial Aclivilies as they are incurred. Pension contribullons The charily has a defined contribution pension scherne. Conlributions are charged in the Statement of Financial Activities as they become payable in accordance with the scheme rules. -32- THE BLUECOAT IA company limitèd by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION AND UNCERTAINTY The preparation of the finanaal statements requires the directors to make judgoments. estimatos and assumplions that affect th8 carrying amounts of assets and liabilities at the balance sheet date and income and expenditure during the year. The judgements, estimates and assumplions are based on the best and most reliable evidence available al the time when the decisions are made and a￿ based on historical experience and other factors that a￿ considered to be applicable. Due to the inherent subjectivity involved, the actual results and outcomes could differ from the estimates. In the process of applying the charity's accounting policies. the directors believe that the critical judgement5 or estimates that have the most significant effect on the amounts recognised in the financial statgments are as follows., Assessing any indicators of impaimient in relation to assets. The directors have considered both external and internal sourc8s of information such as market conditions and &xperi8nce of r8coverability. There have been no indicators of impairments identified during the current financial year. Recoverabilily of deblors. The charity establishes a provision for debtors that are eslimated not to be recoverable. To assess recoverability the directors consider factors such as the ageing of the debtors and past experience of r8coverability. Determining residual values and useful 8conomiG lives of property, plant and equlpment - The charity depreciates tangible assets over thelr estimaled useful lives. The estimation of the useful lives is based on historic perforrnan￿ as well as expectations about future use. The aclu81 lives of Ihese assets Can vary depending on a variety of factors, Including technological innovation and maintenance programmès. Judgement is applied by management when datennining the residual values for plant and equipment. When determining the r8sidual value management aim to assess lh8 amount that the charity would currently obtain for Ihe disposal of the asset, if it were already of the condition expected at the end of its useful economic life. Where possible. this is done with reference to extemal market PriC8S. The estimates and underlying assumptions are reviewed on an ongoing basis. Any revisions are recognised in the period in which the estimate is revised. -33- THE BLUECOAT IA company lirThled by guaranleel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 OTHER TRADING ACTIVITIES Unrestricted Funds Restricted Funds Total 2024 Total 2023 Income from rents and room hires Catering Outlet Income Box Office & Merchandise Income 353.191 579,822 896 933,910 353.191 579,822 896 933,910 304,938 466,608 5,479 777.025 OTHER TRADING ACTIVITIES (PRIOR YEAR) Unrestricted Fund8 Restrlcted Funds Total 2023 Total 2022 Income from rents and room hires Govarnment Grants Catering Outlet Income Box Office & Merchandise Income 304,938 304,g38 259,568 65,519 282,930 466.608 466,608 5,479 777,025 5.479 3602 777 02S 611619 DONATION AND GIFTS INCOME Income of £10,861 (2023:£4,767) represents unrestricted income from fundraising events and other donations received. -34- THE BLUECOAT (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 INCOME FROM CHARITABLE ACTNITIES Unroslrictad Funds Restrlcted Fund8 Tolal 2023 Total 2024 Rèvenue Grants Arls Council Enqland Liverpool City Council 495,848 120,OLKI 495,848 120.000 495,846 150,000 Project Grants Arts Partsclpalion Business Da￿k3pment 25,005 98.523 87,588 25,Crf)5 233,869 87,588 257,245 409,099 135,346 other Inco Comd Recovery Grants Capital Gr8nl Releas6 MuseuTr￿ & Galteries Tax Relef her Charllable Actsvity Incom8 19,494 29,193 32,629 28,048 8.676 8,676 25,594 40,633 25,594 40,633 219 792 Q37.214 142155L INCOME FROM CHARITABLE ACTIVITIES IPRIOR YEAR) Unrestrfcled Restrtcted Funds Funds Total 2023 Total 2022 Revenue Granls ts Ccuncil England Ll*rpttl Citv thncil 495.846 150.OX) 495,848 150,(YJ) ,431 1&s,00) Prolect Grants Arts Participation 257.245 3(M).256 257.245 2*,963 108.PA3 other Inc Coad Recovery (>ants Capital &ant Rebase Museuffs & &I￿rieS Tax Roll Other Charilat4e ActiMty Incor 19494 2q193 19,4 29, 193 32,629 4￿,451 698, 847 36,489 32,629 28,048 2 335 080 -35- THE BLUECOAT {A company limtied by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 EXPENDITURE ON RAISING FUNDS Unrèstrlcted Funds Restrlcted Funds Total 2024 Total 2023 Advertislnq and Markeling Buikiinq runninq costs Support cosL8 (See note 9) Fundraisinq and De￿lO￿nEnt Comff￿r¢I81 Cperations 110.Y20 382.410 167,310 I(￿).634 537.025 110.920 382,410 167,310 103,977 620.520 131.720 379,999 196.827 159.470 434,303 3,343 83.495 302 319 EXPENDITURE ON RAISING FUNDS (PRIOR YEAR) Unrestrfcted Funds Restrtcted Fun(ts Total 2023 Tolal 2022 A(fvertising and Marketing Buikling running costs Support costs (See note 91 Fundraisng and oevejcpn￿t Ccmn*rcial Cp8rali¢Jns 131.r20 379, 196.827 159.470 131.720 379,999 196,827 159,470 434,303 179.049 173, 176. 5&3 814 2S3,493 1302 319 EXPENDITURE ON CHARITABLE ACTIVITIES (2023 as restated) Unrèstrlcled Funds Restrlcted Funds Total 2024 Total 2023 Arts Proqram Pardclpallon Support costs (See nots 91 vernance costs 180.079 176,883 291,301 21,306 66,471 110,736 381,097 246,551 287,599 672,398 21.306 344,472 418,885 679.727 19,407 EXPENDITURE ON CHARITABLE ACTIVITIES (PRIOR YEAR) Unrestrkted Funds Restriclod F￿dS Total 2023 Tolal 2022 Arls Pro.qramme Parllcipallon Support costs (See note 91 vernance costs 151.641 176.226 296,383 19,407 192.831 242.658 383.343 344,472 418,885 679,726 19.407 529,800 258,675 1,033,196 18,187 1462 491 57 -36- THE BLUECOAT (A company liffiled by guaraniee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 The charitable expenditure on charitable aclivities includes staff costs directly attributed lo th8 named activities abov8 in addition to the support costs noted. AUDITOR'S REMUNERATION The Group incurred the following charg8s from audltors.. 2024 2023 Auditor's fee Other services 13,240 255 10,903 768 -37- THE BLUECOAT IA company limited by guaianlee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 SUPPORT COSTS Costs ol raising fvnds Charltable a¢livlllgs Charltable tfvllles Govwnanc• Cost areo Total 2024 Total 2023 Professron81 fees Wages salories Slaff Eyn$8s. RecrLriln*nt & Training Bank charges Deprecialion ICT S(yport, Tdeph¢>n8 & Stationwy Loan Interest MarerlaÈ, Equlpmnl & sU￿1ry Irrecowrab￿ VAT 8ad debts wilten off ALKIII lees Board 8>wnses 2.783 4.419 127 139,125 220.940 197.981 203.458 22,563 77.329 2.216 139.192 3,ggo 1.712 395,541 11.838 2.812 395.541 t8,7￿) 26.240 403.715 21,08B 16,965 1.502 19.378 {4.737) 8,181 6.577 26,240 2.990 376 5,383 27,035 171 27.035 10,eiJ1 10.601 16 310 672 398 861013 SUPPORT COSTS (PRIOR YEAR) Chathabl• Actlvitl•8 Gov•rnanco Cosl 4r•a Cos1$ ¢1 rahlng lund• Ch•Tltab act￿ltI1￿ Total 2023 Total 2022 Prolesslonal 1•8S Waoès and saL3ries Staff E￿enses, Flecrultrn8nl & Tralnlng Bank charges Depreciation ICT SuKvorl, T￿8p￿# & Stauor L08n Interest Matetiais, Equim*nl & Sundry Irr8cowiabk8 VAT 8ad debls ¥%fllten off Audll fegs BoBrd é4)en8aS 81.172 83.418 9,2S1 112,849 115,971 12.861 2,091 403.715 12,009 3,960 197,981 203,456 22,563 3,e68 403.715 21.( 16,965 222,863 483,912 8.101 2,492 397,512 22.730 8.825 22,304 48,634 451 73 8.e￿8 16.965 616 421 856 19.376 19,316 14.7371 8.161 (4.7371 8.181 8.000 2563 1227 936 196 827 895,962 Support costs are apporiioned to activity cost categories directly on a basis consistent with the use of resources, for example, staff costs by lime. Governance support costs relat8 to staff time on governance matters as well as exp6nses incurred by governance matters. -38- THE BLUECOAT {A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 10 SALARIES AND WAGES Average number of employees 2023 No. 2024 No. Group Management, Development & Administration Arts Programme Technicians Engagement Trading Company 16 32 35 11 13 21 16 89 81 2024 2023 Group W8ges and salaries 1,024,014 1,075,203 Social securily costs 76.264 70,264 Pension costs 20,040 21.359 1,120,318 1,166,826 Salary costs includes severance and redundancy payments of £11,445 (2023: £nil) and seconded staff of £nil12023: £14,925). The company has a defined contribution pension scheme. Contributions are charged in the Statement of Financial Activities as they become payable in accordance with the scheme rules. No trustees received remuneration in 2024 or 2023. During the year one director (2023- one) were reimbursed for travel expenses totalling £711 (2023 - £692). The key management personnel of the parent company. The Bluecoat, comprises the dlreclors, who are also the truslees of the charity, and Ihe leadership leam, The key management personnel of the group, and tha employee benefits, ar& identified as the same as for th8 Charity. During the year the leadership team comprised the Chief Executive. the Head of Projects and the Director of Marketing and 8usin6ss Dovelopment. The total employee benefits of the leadarship team were £154,765 (2023. £130,504). The number of employees who received total employee benefits (excluding employer pension costs) of more than £60.000 in the year is as follows: 2024 2023 £70,00110 £80,000 -39- THE BLUECOAT (A ￿rnpany limilèd by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 11 INTANGIBLE FIXED ASSETS (Group and Company) GROUP AND COMPANY Branding and Website COST At 1 April 2023 Additions Disposals At 31 March 2024 45.635 635 DEPRECIATION At 1 April 2023 Charqe for vear Disposals At 31 March 2024 34,878 10.757 NET BOOK VALUE 31￿lar.24 31-Mar-23 10.757 40- THE BLUECOAT (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 12 TANGIBLE FIXED ASSETS FreehoSJ Property Furnitura & Fixiwes .oup Propwty InyovpN*nts Computer Equipmonl (Xher EqUiP￿nI TOTAL COST Al 1 Aprll 2023 Additions Dlsposals At 31 March 2024 12.284,705 707,405 187,314 68.948 386.365 448.102 14.013,891 68.949 707 05 84 DEPRECIATION At 1 Aprll 2023 Charqe for year Dlsposals At 31 March 2024 3.685.263 1 245.683 312.483 135.414 181.320 j. 382,599 15.612 445.074 953 5.006,738 399.105 447 931 026 NET BOOK VALUE 31-Mar44 8,353,760 259.510 59,330 2,321 107S 8,676,997 31-Mar-23 8,599,443 394,921 3.766 3,028 9.￿7,152 COMPANY Froehol Propety C(ryter Property IMprO￿r[￿￿ Equiprr£nl Furnllure & Fixtures Equipment TOTAL COST At 1 Aprll 2023 Additions Disposa At 31 March 2024 12,284,705 707.405 185.816 1 378,752 441.286 j 13,997,963 1228470 707 405 185 816 378 752 13 997 963 DEPRECIATION At 1 Aprll 2023 Charoe for year Disposals At 31 March 2024 3,685,262 245.683 312,483 135.414 1. 180,945 377,330 500 438.268 953 4,994,278 384.780 447 377 NET BOOK VALUE . 31.Mar-24 8,353,760 259.509 921 2,075 8,618,905 31-Mar-23 8,599,443 394.W21 4.871 1.422 3.028 9,003,686 The freehold property and olher assets are included at cost. The net book value of freehold property at 31 March 2024 is £8.353,760. The Arts Council of England and the Nalional Haritage Memorial Fund hold charges ovor the property. -41- THE BLUECOAT IA company limiled by guaiantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 13 INVESTMENTS Group Company Cost As at 31 March 2023 As at 31 March 2024 The investment relates to 1 OOOA of the ordinary share capital owned by The Bluecoat in the subsidiary, Trading at the Bluecoat Limited, a company incorporated in England & Wales, company registration number 06825349 and whose registered office is The Bluecoat. School Lane, Liverpool, L13BX. As at 31 March 2024, its reserves stood al £46,797. The principal activity of Trading at th8 Bluecoat Limited is to operate catering and hospitality outlets situaled wilhin the bU1￿1n9. The company also undertakes events and room hir8. The venture's financial results for the year andod 31., March 2024 were.. 2024 2023 TLJrnover Grant Income Expenditure Tax Profit (Loss) 579,822 83,495 (704.385) 466,608 4,950 (484,420) (41,068) (12,861) 14 STOCK 2024 2023 Group Food & drink 5,092 8.088 15 DEBTORS Amounts due wilhin one year., 2024 2023 Group Trade debtors Accrued income Other deblors 65,624 84.969 62.097 97.774 186 703 18 364 Company Trade dèbtors Accrued income Other debtors Amounts due to (from) group companies 44,641 84.969 31.032 82.808 47.386 97.774 21,415 105,425 272 000 42- THE BLUECOAT {A company limited by guaranlee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 16 CREDITORS-AMOUNTS FALLING DUE WITHIN ONE YEAR 2024 2023 Group Trade creditors Deferred incot Social security and other taxes Accruals and prowisions Other Creditors Loans 79,987 271,707 59,039 50,869 7,790 131030 84.%5 14.027 22.128 65,353 Company Trade creditors Deferred incorr Social security and other taxes Accruals and provisions Other Creditors Loans 67.681 134,112 60.106 44,649 7.790 131030 65,400 1.125 15,868 56,513 225,478 The Arts Council of England has a fixed and floating charge over land and properties of the Charity. The National Heritage Memorial Fund has legal charges over all monies due or to become due. Within loans is £61,500 which relates to a concessionary loan provided by Liverpool City Council, which is interest free and is repayable by instalments. There is also a social investment loan from Livv Housing Group that is provided over a five-year term and a loan from Social Investment Business for £250.000 over a five year term. Deferred income comprises grants réceived in advance of expenditure, and advanced ticket sales and deposits for events to be held at The Bluecoat after the balance she8t date. 43- THE BLUECOAT IA corrpany Itmiled by guacanle61 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 17 LIABILITIES: AMOUNTS FALLING DUE GREATER THAN ONE YEAR 2024 2023 Group Other bans Total 303 517 303 517 Company Olher bans Totsl 303 517 517 Included in the above total are Ihe followng iterrs: 2024 2023 Maturlty of debt: Arrounts fallinq due.. In one year or less Bel￿een one and ￿ years Be￿en kn and five years 131,030 73,610 162 241 86,570 67,668 18 FINANCIAL INSTRUMENTS 2024 2023 Group Financial assets at cost Financial liabilities at cost Loan commitments at cost 331.704 130,855 366,880 368,696 150,317 390,088 Charlty Financial assets at cost Financial liabib'ties at cost Loan comrrlllments at cost 291,434 112,330 366,880 343,495 121,915 390,088 THE BLUECOAT IA company limited by guarantee> NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 19 RESTRICTED FUNDS (2023 as restated) Balance as at 1 st ADril 2023 mont in Funds Balance as at 31 st Mar¢h 2024 Incomè Expenditure Group and Company Buikllna D8V8IoptTh9nt Parllclpalion Aris Fundraisinq & dthbpwEnl 8,425.231 69,005 83,907 8.676 98.523 25.005 87 219 793 381,097 110,736 66.471 8,052,811 56.792 42,441 750 645 141 RESTRICTED FUNDS (PRIOR YEAR) Balancè as al 1st ADril 2022 hPL+vom•nt In Funds Balanco as al 31st March 2023 kn¢ome Exponditure Group and Company Buipjinq Developm8nl PaillGipaUon Arts Fundraisinq & de￿k)pMenI 8,779,381 11.407 29.193 >M,256 257,244 383,343 242,658 173,338 8,425,231 69,005 83,907 Bulldlng Development- This represents grants received lo finance Ihe major refurbishment of The Bluecoat that took pl8C8 between 2006 2008. and mor8 recently capital grants received in 2020-21 to renovate and refurbish the reception areas. Particlpatlon - Funding for outreach programmes of participation events aimed at the local community. This includes receipts from Esmee Fairbum, MPAC, Ellis Campbell and Pilkington Charities Fund Arts - Funding is received for a range of artistic commissions. This includes receipts from Culture Liverpool and Elephant Trust Fundraislng and Development- Fidelity and School for Social Entrepreneurs to support the charity in developing more diverse sources of income. 45- THE BLUECOAT (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 20 UNRESTRICTED FUNDS (2023 as restatsd) Balance as at 1st Apri m0ven￿nt In Funds Balance as at 3151 March 2023 In¢omo Expendlture 2024 Group General 266 490 Company General 272 216 272 216 737 UNRESTRICTED FUNDS (PRIOR YEAR) Balance as at 18t Aprll 2022 Movornent In Fund8 Balance as at 31st March como Expendlturo 2023 Group General Designated Unreslricted 615,309 1.597,158 1,945,977 266,490 1945 977 Company General Designated Unrestricted 608.175 1,125.553 f,461,512 272,216 THE BLUECOAT IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 21 ANALYSIS OF NET ASSETS BETWEEN FUNDS Net Curront Assèls (Llabllltlasl Long Term Llabllltles Total for Yoar 2024 Flxed Assets GROUP Restricted Funds Building Development Partlclpation Arts Fundraislng & development 8.613.270 1560.4581 $6,793 42.441 750 8,052,811 56,792 42,441 750 152 795 613 270 Unrestrlcted Funds 63,725 232,960 235,849) 60,835 Total Fund 676 227 514 630 ANALYSIS OF NET ASSETS BETWEEN FUNDS (PRIOR YEAR) (2023 as restated) Net Current Assets (Llabllltles) Fixed Assets Long Term Llabllltles Total for Year 2023 GROUP R8strlcted Funds Bu1￿1ng Development Participation Arts 8,994,366 (569,134) 89,005 907 416 8,425,232 69,005 Unrastricted Funds 23.548 546.459 {303,517) 266.490 Total Fund8 15 The net current liability on the Building Development Restricted Fund represents the transfer of funds from reslricted to unrestricted that took place between 2006 and 2009 to reflect the reallocation of projects and brought forward balances between categories, and more recently capital grants received and spènt in 2020-21 to renovate and refurbish the rèception areas. 47- THE BLUECOAT IA c(Mmpany limilBd by guaianlèe) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 21 ANALYSIS OF NET ASSETS BETWEEN FUNDS- Contlnued Not Currènt Fixed As80ts Long Term Llabilities Total for Year 2024 (Llablfitles) COMPANY Restricted Funds Building Development Participation Arts Fundralslng & development 8.613.270 1560.458) 56.792 42,441 75 460 8,052,81 f 56.792 42.441 75 Unrestricted Funds 337.570 1235,8491 107.356 Total Funds 618 ANALYSIS OF NET ASSETS BETWEEN FUNDS (PRIOR YEAR) (2023 as restatad) Net Current Assets (Llabllltlesl Flxed Assets Long Term Llabllltles Total for Year 2023 COMPANY Restrlcted Fund8 Building Development Partlclpation Arts 8,994.366 1569,134) 69,005 8,425,232 69,005 416 223 Unrestricted Funds 20,079 555.654 1303.517) 272,216 Total Funds 8 850 360 48- THE BLUECOAT {A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 22 RELATED PARTIES The company is controlled by its directors whose names are shown on page 2. The charity has laken advantage of the exemption in Seclion 33 of FRS 102 from the requirement to disclose transactions with group companies on the grounds that consolidated financial stalements are prepared. Please see note 10 which covers Trustees remuneration. The charity continued to enjoy a close working relationship with Ihe Arts Council and Liverpool Cily Council who provide funding to enable the charity to carry out its charitable objectives. The grants received are included in the financial statements under income from charitable activities. There were no other related party transactions during the y8ar, nor any OLrtstanding balances at the year end. 23 OTHER FINANCIAL COMMITMENTS At 31 March 2024 the group had outstanding commitments for future minimum lease payments under non-cancellable operaling18ases as at the reporting date as follows.. 2024 2023 Explry date: Not18ter Ihan one year Later than one year and not later than five years 1.680 1.088 5,740 24 PENSION COMMITMENTS The group operates a defined conlributions pension scheme. The assels of the scheme are held separately from those of Ihe group in an independently administered fund. The pension cost charge represents conlributions payable by the group to the fund and amounted lo £20,040 (2023.. £21,359). 25 RESTATEMENT OF PRIOR YEAR Prior year figures within these accounts have been restated to reflect the correction of a misallocation of expenditure to restricted expenditure of £122,012 in 2023. This led to Ihe rastricted reserved being understated and unrestricted reserves being overstated by £122,012. 49- THE BLUECOAT (A wmpany limited by guarantèe) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 26 CAPITAL COMMITMENTS At 31 March 2023 the charity had capital commitments as follows: 2024 2023 Contracted for but not provided in the financial statements- Acquisilion of properly, improvements and fixtures and fittings 27 PRIOR YEAR COMPARATIVE SOFA (2023 as restated) Not•¥ Unr•strlct Funds R6strktod Fun(ts Total Fund$ 2023 Total Funds 2022 lTrcomo (ther tradlng 8Cl￿￿eS Donations and ￿g￿leS Incom Irom ch¥iiÈNo acts￿￿8$ 777.025 4,767 815.366 777,025 4.767 1.421,553 611.619 2,293 2,335,080 ￿￿,188 Tot*1 expondlturo Eyp8ndllur& on rais1￿ lurnts Eyndllwe on ¢harllBÈ4è a¢ll￿be6 1,302.319 643,658 1,302,319 1,462,490 783,718 1.839,857 818.832 Tot41 Not Incomlnglloutgolngl r•8¢ur¢•# lor th• y•ar and ng1 movomgnt Sn funds (348,8191 (212.644) (561,4621 325,416 Balafteo blf 615.3( 8,790.788 9,406,097 9,080,681 Balanc• ¢11 -50-